- The Ethereum Ropsten Merge testnet's first upgrade is scheduled for June 2, and will be complete on June 8.
- Ethereum Merge could reduce the altcoin's issuance by 90%, Bloomberg analysts argue this could fuel an Ethereum rally.
- Triple Halving narrative could play out on the successful completion of the merge, pushing Ethereum price to its $10,000 target.
Ethereum Ropsten Merge testnet is drawing closer, expected to be completed on June 8. Proponents expect the successful completion of the merge upgrade to influence the altcoin's price positively and push it to a $10,000 target, based on the Ethereum Triple Halving narrative.
Also read: When is the Ethereum Merge happening?
Ethereum Ropsten Merge testnet starts on June 2
Vitalik Buterin, the co-founder of Ethereum, told the community at the recent ETH Shanghai Summit that the Ropsten Merge testnet is the most critical milestone for developers. The successful completion of the merge upgrade scheduled for June 2, 2022, will be key to the journey of Ethereum's transition from Proof-of-Work to Proof-of-Stake.
In a recent tweet, Colin Wu, a Chinese journalist, has reported details of the execution layer transition from Proof-of-Work to Proof-of-Stake.
The Ethereum testnet Ropsten will start the merge upgrade on June 2, which will be the first testnet to achieve the merge. The execution layer transitions from POW to POS at the specified Terminal Total Difficulty (TTD). The testnet merge is expected to be completed on June 8.— Wu Blockchain (@WuBlockchain) May 31, 2022
Vance Spencer, the co-founder of the venture capital firm Framework Ventures, argues, "If you think about how crypto markets usually move, the biggest event is usually Bitcoin halving, cutting supply of Bitcoin in half. Here, we have the supply of Ethereum getting cut by 90% in one moment."
The Ethereum Merge represents a reduction of as much as 90% in the altcoin's issuance. A reduction in Ethereum's circulating supply could fuel a shortage and increase altcoin's price.
Triple Halving could send ETH price to the moon
Ethereum Triple Halving narrative was put forward by researcher Nikhil Shamapant. Proponents believe that the successful implementation of EIP-1559, the burn protocol and the migration from PoW to PoS through the merge, could reduce the Ethereum volume to an equivalent of three and a half Bitcoin halvings. A reduction in Ethereum's issuance and the Triple Halving could push the altcoin to its target of $10,000, put forward as a part of Shamapant's narrative.
It [Ethereum price] definitely can go much higher, I think we can see the price go to $10,000, where a lot of ETH bull price targets begin to kick in and people take profits. I think we'll head up to that $10-25k range, hit a lot of supply and could see some big drawdowns and consolidation at that point.
ETH prices nears $2,000
Based on data from the crypto intelligence platform IntoTheBlock, Ethereum price has soared above $1,900 on the back of rising outstanding positions in altcoins. Rising open interest in Ethereum, hitting $9.37 billion, indicates a substantial amount of longs opened by traders.
This reveals traders are bullish on an Ethereum price rally, as the merge draws close.
Open Interest in Ethereum
Despite the recent drop in Ethereum price, down nearly 60% from its all-time high, daily active addresses and transactions on the network have remained near-constant since November 2021. Proponents consider this a bullish sign for Ethereum.
Ethereum daily transactions and addresses
@rektcapital, a leading cryptocurrency analyst, evaluated the Ethereum price chart and noted that the altcoin's bounce from major support is no surprise. Ethereum price could continue its climb from the current level and hit the $2,269 level, flipping it into new resistance.
ETHUSD price chart
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